Thousands of jobs saved as Petrofac set to be purchased

Thousands of jobs in the North Sea are safe as part of energy services firm Petrofac looks set to be bought.

American company CB&I announced on Christmas Eve that it had entered into an agreement to acquire the firm’s asset solutions business, transferring 3,000 members of staff to its own payroll when the deal goes through, expected in the first quarter of 2026.

Petrofac announced in October that it had appointed administrators after the collapse of a renewables contract in the Netherlands.

Mark Butts, president and chief executive of Texas-based CB&I, said: “Our organisations share similar management philosophies and industry-leading safety performance.

“With this combination we see strong cultural alignment, diversification benefits, and clear opportunities to enhance performance and deliver stable cash flow generation.

“These factors collectively support CB&I’s long-term growth objectives.”

James Bennett, joint administrator for Petrofac, said the deal was “a very positive outcome”.

“Following a swift and rigorous process to find the best home for Petrofac’s Asset Solutions business, this is a very positive outcome and secures the future of its operations and the roles of many highly skilled people,” he said.

“Asset Solutions has an exciting future as part of CB&I, with strong operational compatibility and a complementary geographic footprint.”

Petrofac group chief executive Tareq Kawash said: “This is a great outcome for the Asset Solutions business, supporting job security for 3,000 talented team members.

“CB&I is a strong business with clear growth objectives, now bolstered by the addition of Asset Solutions’ integrated service offering.

“I want to thank the Asset Solutions team, our customers and supply base for their support as we have worked to secure the business’s future.”